The CONTROLLERS thrive on conflict/war and, in the process, want to show the world "Who's Boss."

Sigh..BlueAngel, when will you learn to remove the blinders you wear?

First, war is a necessity. It is the means that the strong assert themselves and the weak are defeated. Obviously, if the world was a rosy place that was perfectly fair, it would not be necessary. However..it isn't.
Machivelli and others properly understood the role of war in "real politicks", not the moralistic handwring you engage in. Yes, it would be nice if we could all join hands and sing in harmony, but that isn't the nature of the world nor human nature.
Of course, the greatest weakness in your analysis lies that you seem to not see the same dynamic in every society. The strong ALWAYS get their way and it is the fate of the weak to tolerate what they must. Even if you got us not to fight nation to nation, we would still be battling each other on socio-political grounds.
Lastly, war is simply evolution in progress. Think of it this way; the fall of one nation or empire is the rise of another one. This world is a gian laboratory with ideologies and belief systems in conflict. War is simply the application of force to acheive the political or ideological goals of that belief system or ideology.
If the belief system or dieology lacks the ability to adjust, adapt and overcome it is destroyed. From the ruins of that ideology or belief system a NEW belief system, ideology or paradigh arises. Without war, there would be no conflict and out dated, as well as inefficeint and weak ideologies and belief systems would linger on as obsolete dinosaurs.
If war comes, it comes. Perhaps it will be a final referendum on the strengths & weaknesses of democracy vs. the strengths and weaknesses of Communism. Whatever the outcome, we can be confident the more adaptable ideology will win out and overcome it's rival.